Energy Minister-designate, John Abudulai Jinapor, has indicated the need for private sector involvement in the power distribution sector to address inefficiencies and improve service delivery.

Speaking during his vetting before Parliament’s Appointments Committee, Jinapor outlined his vision for a collaborative approach that balances public oversight with private sector expertise.

"We need private sector participation at the distribution level. However, I disagree with the format of the PDS [Power Distribution Services] and believe we can do it better," he stated on Monday, January 13.

• Read also: Energy sector debt has ballooned to $3bn – John Jinapor

He highlighted that Aggregate Technical, Commercial, and Collection (ATC&C) losses in the sector currently stand at approximately 40%, with 23% attributed to technical losses and the remainder to commercial inefficiencies.

Mr Jinapor proposed the formation of a seven-member committee comprising technical, legal, and financial experts, industry players, and consumer representatives to develop a transparent and comprehensive framework for private sector participation.

• Read also: Energy Minister-designate sets 6-months for ECG private sector involvement framework

“This committee will assess best practices and determine whether a concession approach or full privatisation will work best for Ghana. Politicians will not interfere in this process, ensuring it is open, transparent, and guided by technical expertise,” he explained.

He added that the committee’s recommendations will inform the development of standards for private sector participation, including a Request for Qualification (RFQ) or Request for Proposal (RFP) process.

The Yapei-Kusawgu MP assured that the government would avoid sole sourcing in favour of a competitive tender process. He also pointed out the importance of incorporating local content and setting clear Key Performance Indicators (KPIs) to ensure accountability and measurable progress.